Philanthropy and The Ethical State: The Role of Philanthropy and its Relationship with Government in Australia

Abstract

Increasing international interest in philanthropy since the 1990s has occurred alongside the emergence of new forms of philanthropy—and new philanthropists—guided by the principles of the market. This conception of philanthropy is also associated with the promotion of a neoliberal view of the state’s role as being to support the market, which is felt to be best placed to address social issues and support society. Research on philanthropy in Australia, which is considered a ‘developing’ philanthropic culture, has focused on its contributions and motivations. This thesis addresses a significant gap in the literature in seeking to analyse the relationship between philanthropy and government, and to establish the particular position philanthropy occupies in Australia in relation to the state. It argues that because philanthropy’s position is connected to views regarding the role of the state, the relationship can be used to examine potential changes in such views. The particular position occupied by philanthropy in Australia is indicated through regulatory arrangements and in the operations of the country’s philanthropic institutions. The thesis also seeks to highlight philanthropy's role through comparison with the United States, considered the ideal of a well-developed philanthropic culture, and the United Kingdom, where recent policy and regulatory reforms relating to philanthropy have indicated changes in government’s role. Philanthropy in Australia occupies an ancillary role in relation to government, reflected in its institutions. This role developed in connection with the social liberal path dependency established at federation and is underpinned by a particular conception of the role of the state that sees it occupying a central position in promoting equality of opportunity for citizens. Philanthropy’s connection to the social liberal path dependency suggests that changes in the role of the state should be reflected in changes regarding philanthropy’s ancillary role. Thus, analysing philanthropy’s position in Australia provides an insight regarding the impact of the identified challenge to the established social liberal path dependency in the form of a ‘neoliberal policy turn.’ New philanthropic structures intended to increase giving do appear to support a neoliberal position, as do recent innovations being promoted by government with the aim to encourage cooperation. However, these structures both reflect and reinforce philanthropy’s ancillary role, and philanthropic engagement with new initiatives suggests government continuing to be viewed as occupying a central position within society. This argues that the social liberal path dependency, and the role of the state embedded within it, remain influential in Australia, serving to lessen the extent of neoliberalism’s impact. As well as contributing to a more comprehensive understanding of Australia’s philanthropic landscape, the thesis addresses a key policy concern regarding the proper role of the state. It considers the ideological context surrounding changing views on this question and its findings provide a significant insight regarding the extent of neoliberalism’s impact in Australia. The policy implications of the continued influence of the social liberal path dependency extend beyond the specific area of philanthropy, and are particularly significant in the context of potentially blurring boundaries between the public, private and not-for-profit sectors.